The disadvantages are twofold. If FTAs are not set up within the right framework of policies, they can diminish rather than enhance economic welfare. The second disadvantage is that they are not good vehicles for liberalising trade in sectors on which parties outside the agreement have a major influence.
What is the top free trade agreement?
ASEAN Free Trade Area (AFTA) The agreement is one of the largest free trade agreements with the coordination with its large partners which are the Asia-Pacific Economic Cooperation, East Asia Summit, and Regional Comprehensive Economic Partnership.
Are free trade agreements a good idea?
Free trade has allowed many countries to attain rapid economic growth. By focusing on exports and resources where they have a strong comparative advantage, many countries have been able to attract foreign investment capital and provide relatively high-paying jobs for local workers.
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PDF) Free Trade Agreements In the Americas: Are the Trade Effects
